Finance & FP&AMedium

Why do people care about EBITDA when net income exists?

Seen at: Carlyle · KKR · Goldman Sachs

An operator asks: 'EBITDA keeps getting quoted on earnings calls. Why not just use net income?' Explain.

Draft your answer

Saved to this browser only. Try it before you peek at the model answer.

Stuck? Peek at a hint

Reveals the model answer and the self-score rubric.

More finance & fp&a questions